(Egypt) Disapproving the trial judge’s reliance on ‘surrounding circumstances at the time when the memorandum was framed’, Lord Macmillan said that ‘the purpose of the memorandum is to enable shareholders, creditors and those who deal with the company to know what is its permitted range of enterprise, and for this information they are entitled to rely on the constituent documents of the company’ and that the ‘intention of the framers of the memorandum must be gathered from the language in which they have chosen to express it’.
Judges:
Lord MacMillan
Citations:
[1931] UKPC 47, [1931] AC 677
Links:
Jurisdiction:
Commonwealth
Cited by:
Cited – BNY Mellon Corporate Trustee Services Ltd v LBG Capital No 1 Plc and Another SC 16-Jun-2016
The Court was asked whether Lloyds Banking Group was entitled to redeem 3.3 billion pounds of loan notes which would otherwise carry a relatively high rate of interest, namely over 10% per annum. The loan notes are contingent convertible securities . .
Lists of cited by and citing cases may be incomplete.
Company
Updated: 22 August 2022; Ref: scu.421675